Before I entered the world of software and technology, I spent over 10 years in manufacturing. I hear engineers often discussing what’s called “signal-to-noise” ratios. Like tuning an old AM radio, sometimes you get a good signal and the background noise is minimal. At other times, the static and buzzing is so intense that you cannot hear what the station is trying to broadcast. This is where enterprise CLM comes in.
Remember the days when you asked for information from a vendor and they would send you a slick brochure? Some in fancy packages, others oversized (so they stand out). When you asked for a proposal, you’d get a 30-page bound book while others emailed you a PDF, or you got invited to a private page on their server to access the information.
I have been blogging about contracts at the core of business for some time now, but it appears there is still some confusion as to what the best way is to get started – a holistic approach or a functional/departmental approach. CLM vs. ECLM. The answer is actually both. The term CLM or Contract Lifecycle Management is used right along with ECLM or Enterprise Contract Lifecycle Management. One letter (E), however, makes all the difference in the world; even though it is most likely you will begin with a departmental or functional approach, your planning and thought process must be around the enterprise.
ISM’s annual supply management conference is just around the corner, May 3 – 6 in Phoenix. If you haven’t yet made plans to attend, there’s still time to look into it. If your travel plans are all in place, then you have to make some tough decisions about which breakout sessions to attend.
Let’s consider this familiar situation: it’s the last day of the fiscal quarter, and everyone in your company involved in the contract process is frantically working on extensions, approvals, and special requests. Since each contract is being reviewed and adjusted manually by the legal team, it could very well be the wee hours of the morning before anyone gets to head home – especially if anything unexpected comes up.
Each year, Supply & Demand Chain Executive releases a list of elite professionals, “Provider Pros to Know,” both online and in the print issue of their magazine. Award recipients are recognized as people to know and learn from in the supply chain industry. They work for software firms and service providers, consultancies or in academia, and have made significant contributions to their individual clients or to the industry as a whole, enabling them to better meet the challenges of the coming year.
It’s no secret that industry analysts note enterprises worldwide are fraught with low adoption of legacy procurement software. As a result, one of the main problems Chief Procurement Officers (CPOs) face is the lack of visibility and control of transactions. Procurement needs technology vendors with vision who can deliver the ability to combat rogue buying and improve spend management and contract lifecycle management (CLM) with more functionalities. CPOs today want products and solutions with source-to-pay features that are easy to use, integrated with CLM.
According to Forbes, top global companies are relying on their procurement leaders more and more to seek out innovative ways of doing business with suppliers. It’s no longer simply about cutting costs – procurement is more involved in mitigating supply chain risk and making strategic decisions in collaboration with top management. Continue Reading
Gartner’s 2015 predictions for the procurement technology market, “Predicts 2015: A Maturing Procurement Technology Market Creates New Opportunities for Value Creation” is a good read if you can get your hands on it. With all of the technology that has been deployed over the past 15 years, companies still need to find ways to keep ahead of it. I am actually taken back by the need for enterprises to approach both technology and processes (AGAIN), specifically when it comes to procurement and contract lifecycle management.
As both procurement experts and suppliers understand, sourcing a product is more involved than simple physical acquisition. Considering the plethora of product recalls that seem to be constantly in the news, it’s clear that making sure products meet certain standards can be challenging if the right supplier non-compliance monitoring systems aren’t put in place. Continue Reading